The winner of technology based on services with 30% growth? News ad

Despite the fact that the so -called magnificent seven shares in the technological sector have become the subject of the front selling participants in the stock market, investors should pay attention to narratives or preferences that the market can start looking for unstable times for the United States economy. This means that how New shopping tariffs Go to the Internet, safety and stability in business models can become the main ones for promoting capital.

Spotify Technology Today

Spotify Technology SA STOCK logo
PLACESpot 90-day performance

Spotify Technology

$ 502.90 -55.52 (-9.94%)

As of 4.04.2025 20:59

52-week range
$ 267.76

$ 652.63

P/e ratio.
84.52

Value is valuable
$ 557.47

With this in mind, any company based on services that performs predictable and stable cash flows can be the hottest problem in the coming months, since the markets adapt to the regime of growing volatility. Now, being focused on services, investors would have to directly look at the names of technology and software. Since homework has been done, there is one choice that could be better than others, with Double plus In view.

This choice comes through shares Spotify Technology NYSE: SpotA subscription -based business that also receives most of its income from advertising services. New developments in the company’s strategy have expanded his future earnings potential And, therefore, its assessments of prospects, increasing the price of shares in kind.

Expansion of income for spotify shares

Spotify’s leadership recently introduced advertising services in its Audiobooks unit, which is expected to have the same effect as its musical advertising services. When users sit down to listen to the book, the last thing they want is to interrupt in the middle of a breakthrough thought or paragraph.

This simple user experience factor will probably increase the two -digit growth subscription, which the company can report a quarter behind the quarter without contributions. This is a topic that investors can see in the game as part of the last quarterly financial presentation Spotify, which shows the following main points.

The total monthly active users have grown to 640 million around the worldrepresenting an annual growth rate of up to 12%. Most of the growth was obtained from “free” levels of accounts that are subject to advertising breaks. If the story in this company shows that liba, that is, free users are ultimately converted into paid accounts to eliminate advertising, which leads to optimism for the future of the company.

From the low costs of this technological platform, any growth in the upper line and the user base is translated into an even wider expansion for the results, especially Free cash flow (Operational cash flow minus capital costs).

In this presentation, Spotify announced a free cash flow up to 711 million dollars. USA To show a clean growth rate of up to 23% only in the last quarter. With this free cash flow, investors and other participants can feel confident that the company’s path is much more optimistic, given how this capital is now exposed to compilation.

The market takes on Spotify shares

Over the past quarter, the price action showed investors how much this stability and basic growth are important to the market. From the point of view of performance, Spotify shares left the S&P 500 index by as many as 27%, strengthening this potential preference for capital, which is included in the stability and predictability of shares based on maintenance.

Moreover, and, possibly, out of the expansion in the audiobook’s advertising, Wall analysts -stroke decided to make new bold calls to Spotify shares. Those Wells Fargo not only confirmed his overweight rating In the company, but also increased their target estimates to $ 740 per share.

Spotify Technology Today Today Promotions

Price forecast for 12 months:
$ 557.47
Moderate purchase
Based on 30 analysts ratings
The current price $ 502.90
High forecast $ 740.00
Average forecast $ 557.47
Low forecast $ 250.00

Spotify Technology Promotion Forecast

On this recent look located at the end of March 2025, Spotify now It is expected to make a new 52-week maximumPotentially leads even more pulse buyers to this reserve. This assessment also requires Pure rally up to 31% Where the shares are traded today, providing investors with the opportunity to coordinate their portfolios with this growth potential.

Having left this bull thesis, the Janus Henderson Group lifted its Spotify Holdings to $ 503.2 million. The United States as of February 2025 is a strong voice of trust, which adds another pillar to the potential case of the action.

The last indicator that should be considered comes from an encrypted language of market valuation indicators. Especially 95.0x at a multiple price (p/e) For Spotify Stock Today, which is a significant bonus for evaluating in 30.2 -fold assessment of the group.

The markets are always ready to pay a bonus for shares that are expected to surpass peers and a wider market – something Spotify has already been demonstrated for the last quarter.

Before considering Spotify technology, you will want to hear it.

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